--- title: "EI 2027 Rates: $1.64 Premium, $70,800 Max Insurable Earnings" url: https://www.everstonecpa.com/tax-update/ei-premium-rate-2027 description: "2027 EI rates: employees pay $1.64 per $100 and employers $2.30, on insurable earnings up to $70,800, with the maximums for each. Check your payroll." type: tax-update updated: 2026-10-08 summary: "The Employment Insurance premium rate for 2027 is $1.64 per $100 of insurable earnings for employees, one cent above 2026, and employers pay 1.4 times that, $2.30. The ceiling on insurable earnings rises from $68,900 to $70,800, so the maximum annual premium becomes $1,161.12 for an employee and $1,625.57 for the employer, per employee." faq_count: 5 publisher: EverStone CPA Inc., a Chartered Professional Accountant firm registered with CPA British Columbia and CPA Alberta service_area: British Columbia, Alberta, Ontario and Manitoba language: en-CA contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online --- [Home](https://www.everstonecpa.com/) [Tax updates](https://www.everstonecpa.com/tax-updates) EI premium rate 2027 Payroll # EI premium rate 2027 — $1.64 per $100, insurable earnings ceiling $70,800 By EverStone CPA · Updated August 2026 **Quick answer:** The Employment Insurance premium rate for 2027 is $1.64 per $100 of insurable earnings for employees, one cent above 2026, and employers pay 1.4 times that, $2.30. The ceiling on insurable earnings rises from $68,900 to $70,800, so the maximum annual premium becomes $1,161.12 for an employee and $1,625.57 for the employer, per employee. Quebec residents pay $1.29 and $1.81 because the province runs its own parental insurance plan. Running payroll? We apply each year's CPP and EI rates in our [payroll services](https://www.everstonecpa.com/payroll-services-canada). The ceiling and the rate both moved, so a payroll still set up on 2026 figures under-remits from the first cheque. [How payroll is run here](https://www.everstonecpa.com/payroll-services-canada), or [ask about yours](https://www.everstonecpa.com/quick-question). **In force** · From 1 January 2027 — confirmed 14 September 2026 This measure is law and applies now. ## The 2027 EI premium rate and figures, with 2026 beside them The 2027 EI figures, with 2026 beside them | Figure | 2026 | | EI premium rate, employee | **$1.64** per $100 of insurable earnings (2026: $1.63) | | EI premium rate, employer | **$2.30** per $100 — 1.4 times the employee rate (2026: $2.28) | | Maximum insurable earnings | **$70,800** (2026: $68,900) | | Maximum annual premium, employee | **$1,161.12** (2026: $1,123.07) | | Maximum annual premium, employer, per employee | **$1,625.57** (2026: $1,572.30) | | Quebec rate, employee / employer | $1.29 / $1.81 per $100 | | Maximum weekly EI benefit | $749 (2026: $729) | The rate moved one cent. The ceiling moved $1,900. Almost all of the $38.05 increase in an employee’s maximum premium, and the $53.27 increase in the employer’s, comes from the ceiling. ## How it works EI premiums are a percentage of insurable earnings, withheld from pay and matched by the employer at 1.4 times. For 2027 the employee rate is **$1.64 per $100**: on $1,000 of pay, $16.40 is withheld and the employer remits $22.96 more. Premiums stop once the year’s earnings reach the **maximum insurable earnings**, $70,800 for 2027, for employee and employer alike, so the maximum premium is fixed: $70,800 × 1.64% = $1,161.12. So the EI max 2027 premium is $1,161.12 for an employee, and the employer’s matching maximum for that employee is $1,625.57. The Canada Employment Insurance Commission sets the rate each September at the seven-year forecast break-even level for the EI Operating Account: $1.64 for 2027. Quebec residents pay a lower federal EI rate, $1.29, because the Quebec Parental Insurance Plan replaces the maternity and parental side of EI and is funded by a separate provincial premium. **Employer with a 2027 payroll to set up?** We load each year’s EI and CPP rates into your payroll and run it on a fixed monthly fee, as part of bookkeeping from $325 a month. See [our payroll service](https://www.everstonecpa.com/payroll-services-canada), or [get a payroll quote](https://www.everstonecpa.com/book-online?service=payroll#enquiry-form). [Get My Fixed Quote](https://www.everstonecpa.com/book-online?service=payroll#enquiry-form) ## The 2027 EI employer rate, and how it applies to you Every employer, from the first pay dated in January 2027, and every employee with insurable earnings. For a small employer the practical change is the ceiling. An employee earning $75,000 reaches the maximum in 2027 at $70,800 rather than $68,900, so the employer’s share for that person is $1,625.57 rather than $1,572.30 — $53.27 more per employee at or above the ceiling. Most owner-managers pay no EI on their own salary: an owner controlling more than 40% of the voting shares is generally not in insurable employment, so their pay carries CPP but not EI. Confirm the classification. ## How to calculate the 2027 EI maximum contribution Two employees, worked through on the 2027 figures: Calculation steps | Step | Detail | | Employee A, insurable earnings $60,000 | $60,000 × 1.64% = **$984.00** employee premium | | Employer share for A | $984.00 × 1.4 = **$1,377.60** | | Employee B, insurable earnings $80,000 | capped at $70,800 × 1.64% = **$1,161.12** | | Employer share for B | $1,161.12 × 1.4 = **$1,625.57** | | Same two employees in 2026 | A: $978.00 / $1,369.20 · B: $1,123.07 / $1,572.30 | Employee B hits the ceiling mid-year, and withholding stops. If B changes employers, the new one starts from zero; B recovers any overpayment on the T1, the employers do not. ## What changed The ceiling rose $1,900, driving most of the increase; the rate rose one cent; and the maximum weekly benefit rose from $729 to $749. The rate is the seven-year break-even level that balances the EI Operating Account by the end of 2033. ## What to do Load the 2027 tables before the first January pay run. The ceiling change is the one that catches manual payroll, because the point at which withholding stops has moved. The 2027 EI rates apply from the first pay dated in January 2027; until then the 2026 payroll figures stay in force. If you are budgeting payroll cost for 2027, the employer’s EI line rises by up to $53.27 per employee at or above the ceiling, and by 1.4 × one cent per $100 for everyone below it. The 2027 CPP figures, including the CPP2 band, come out separately, usually on 1 November; do not pair these EI figures with guessed CPP ones. **The practical point.** Confirm the payroll software has the 2027 tables loaded before the first January pay run, and check the first PD7A remittance of 2027 against the new maximums. An employee who reached the 2026 maximum in November will start contributing again on 1 January at the new rate. For what comes off a pay cheque at today’s 2026 rates, use the [CPP, EI and tax calculator](https://www.everstonecpa.com/payroll-deduction-calculator); the 2027 figures above apply from January. ## The terms used on this page Insurable earnings The pay on which EI premiums are charged: salary, wages and most taxable benefits, up to the annual maximum. Maximum insurable earnings (MIE) The annual ceiling on insurable earnings; premiums stop once it is reached. $70,800 for 2027. Employer multiple The employer pays 1.4 times the employee premium, unless it qualifies for a reduced rate under the Premium Reduction Program. Break-even rate The premium rate at which the EI Operating Account is forecast to balance over seven years; the Commission sets the rate at this level each September. Insurable employment Employment that carries EI coverage and premiums. An owner controlling more than 40% of voting shares is generally excluded on their own employment. ## Common questions **What is the EI rate for 2027?** $1.64 per $100 of insurable earnings for employees, and $2.30 for employers, who pay 1.4 times the employee rate. It applies from 1 January 2027 and was confirmed by the Canada Employment Insurance Commission on 14 September 2026. **What is the maximum insurable earnings for 2027?** $70,800, up from $68,900 in 2026. Premiums stop once an employee’s insurable earnings for the year reach that figure. **What is the maximum EI premium for 2027?** $1,161.12 for an employee and $1,625.57 for the employer per employee. In 2026 the figures were $1,123.07 and $1,572.30. **Why is the Quebec EI rate lower?** Quebec runs its own parental insurance plan, so the federal EI premium there excludes maternity and parental benefits. The 2027 Quebec rate is $1.29 for employees and $1.81 for employers. **Do I pay EI on my own salary as an owner?** Usually not. An owner with more than 40% of the voting shares is generally not in insurable employment, so pays CPP but not EI. It turns on the share structure, so confirm it. ## Where this comes from Every figure on this page is taken from the source below, not from interpretation: - [Canada Employment Insurance Commission — 2027 EI premium rate confirmed, 14 September 2026](https://www.canada.ca/en/employment-social-development/news/2026/09/canada-employment-insurance-commission-confirms-2027-employment-insurance-premium-rate.html) - [ESDC — Summary of the 2027 Actuarial Report on the EI Premium Rate](https://www.canada.ca/en/employment-social-development/programs/ei/ei-list/reports/premium/rates2027.html) **General information, not tax advice.** This page explains a change in general terms. It cannot account for your circumstances and does not create a professional relationship. Confirm anything that affects a decision — [send an enquiry](https://www.everstonecpa.com/book-online?service=payroll#enquiry-form). [All 25 tax updates](https://www.everstonecpa.com/tax-updates) [RRSP dollar limit 2026](https://www.everstonecpa.com/tax-update/rrsp-dollar-limit-2026) [Tax brackets 2026: the federal and BC bands](https://www.everstonecpa.com/tax-update/tax-brackets-2026) [Capital gains inclusion rate: still one-half](https://www.everstonecpa.com/tax-update/capital-gains-inclusion-rate) [Form PD7A, statement of account for current source deductions](https://www.everstonecpa.com/forms/pd7a) [Send an enquiry](https://www.everstonecpa.com/book-online?service=payroll#enquiry-form) ## Have a question about this? Ask free through [the quick-question form](https://www.everstonecpa.com/quick-question); a CPA replies by email within one business day. A 45-minute paid **Advice Call** is $225 plus GST, booked by email and credited to your first invoice if you become a client within 60 days. Want us to take it on? [Send an enquiry](https://www.everstonecpa.com/book-online?service=payroll#enquiry-form). If the question is really about running payroll — the tables, the remittances, the T4s — [payroll services](https://www.everstonecpa.com/payroll-services-canada) covers all of it, and [the 2026 payroll figures](https://www.everstonecpa.com/tax-update/payroll-figures-2026) are the ones in force until January. [Ask a Free Question](https://www.everstonecpa.com/quick-question) [Book a Paid Advice Call](https://www.everstonecpa.com/advice-call) Email info@everstonecpa.com ★★★★★ “…have been completing my bookkeeping, taxes and financials for the last 2 years and they have been amazing. Thank you!” R. H. · Google review --- Source: https://www.everstonecpa.com/tax-update/ei-premium-rate-2027 Prices: https://www.everstonecpa.com/pricing · Contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online